Virginia (State or other jurisdiction of incorporation) | 1-31420 (Commission File Number) | 54-1821055 (I.R.S. Employer Identification No.) | |
12800 Tuckahoe Creek Parkway Richmond, Virginia (Address of principal executive offices) | 23238 (Zip Code) |
Item 2.02. | Results of Operations and Financial Condition. |
The registrant issued a press release on December 21, 2017, announcing its third quarter results. The press release is being furnished as Exhibit 99.1 hereto and is incorporated by reference into this Item 2.02. | |
Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits | The following exhibit is being furnished pursuant to Item 2.02 above. |
Press release, dated December 21, 2017, issued by CarMax, Inc., entitled “CarMax Reports Third Quarter Results.” |
CARMAX, INC. | ||
(Registrant) | ||
Dated: December 21, 2017 | By:/s/ Thomas W. Reedy | |
Thomas W. Reedy | ||
Executive Vice President and | ||
Chief Financial Officer |
▪ | Net sales and operating revenues increased 11.0% to $4.11 billion. |
▪ | Used unit sales in comparable stores increased 2.7%. |
▪ | Total used unit sales rose 8.2%. |
▪ | Total wholesale unit sales increased 9.1%. |
▪ | CarMax Auto Finance (CAF) income increased 15.1% to $102.8 million. |
▪ | Net earnings increased 8.9% to $148.8 million and net earnings per diluted share rose 12.5% to $0.81. |
(1) | Although CAF benefits from certain indirect overhead expenditures, we have not allocated indirect costs to CAF to avoid making subjective allocation decisions. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||
(In millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||
Used vehicle sales | $ | 3,425.5 | $ | 3,090.6 | 10.8 | % | $ | 10,963.1 | $ | 9,820.4 | 11.6 | % | |||||||||
Wholesale vehicle sales | 552.8 | 488.4 | 13.2 | % | 1,653.9 | 1,616.5 | 2.3 | % | |||||||||||||
Other sales and revenues: | |||||||||||||||||||||
Extended protection plan revenues | 77.1 | 70.2 | 9.8 | % | 254.5 | 221.5 | 14.9 | % | |||||||||||||
Third-party finance fees, net | (12.8 | ) | (9.1 | ) | (40.7 | )% | (35.8 | ) | (29.3 | ) | (22.3 | )% | |||||||||
Other | 64.4 | 61.4 | 5.0 | % | 200.3 | 196.0 | 2.2 | % | |||||||||||||
Total other sales and revenues | 128.7 | 122.5 | 5.1 | % | 419.0 | 388.2 | 7.9 | % | |||||||||||||
Total net sales and operating revenues | $ | 4,107.0 | $ | 3,701.5 | 11.0 | % | $ | 13,036.0 | $ | 11,825.2 | 10.2 | % |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||
2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||
Used vehicles | 169,648 | 156,789 | 8.2 | % | 550,940 | 495,277 | 11.2 | % | |||||
Wholesale vehicles | 100,332 | 91,973 | 9.1 | % | 309,283 | 300,543 | 2.9 | % |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||
2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||||||
Used vehicles | $ | 20,008 | $ | 19,520 | 2.5 | % | $ | 19,705 | $ | 19,640 | 0.3 | % | |||||||||
Wholesale vehicles | $ | 5,268 | $ | 5,103 | 3.2 | % | $ | 5,110 | $ | 5,165 | (1.1 | )% |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||
2017 | 2016 | 2017 | 2016 | ||||||
Used vehicle units | 8.2 | % | 9.1 | % | 11.2 | % | 6.6 | % | |
Used vehicle revenues | 10.8 | % | 6.2 | % | 11.6 | % | 5.0 | % | |
Wholesale vehicle units | 9.1 | % | (2.2 | )% | 2.9 | % | (0.6 | )% | |
Wholesale vehicle revenues | 13.2 | % | (4.9 | )% | 2.3 | % | (3.9 | )% |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||
2017 | 2016 | 2017 | 2016 | ||||||
Used vehicle units | 2.7 | % | 5.4 | % | 5.5 | % | 2.8 | % | |
Used vehicle revenues | 5.3 | % | 2.5 | % | 5.8 | % | 1.2 | % |
(1) | Stores are added to the comparable store base beginning in their fourteenth full month of operation. Comparable store calculations include results for a set of stores that were included in our comparable store base in both the current and corresponding prior year periods. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||
CAF (2) | 49.2 | % | 50.1 | % | 48.5 | % | 49.9 | % | |||
Tier 2 (3) | 15.4 | % | 17.0 | % | 16.9 | % | 17.7 | % | |||
Tier 3 (4) | 10.8 | % | 9.7 | % | 10.1 | % | 9.9 | % | |||
Other (5) | 24.6 | % | 23.2 | % | 24.5 | % | 22.5 | % | |||
Total | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
(1) | Calculated as used vehicle units financed for respective channel as a percentage of total used units sold. |
(2) | Includes CAF's Tier 3 loan originations, which represent less than 1% of total used units sold. |
(3) | Third-party finance providers who generally pay us a fee or to whom no fee is paid. |
(4) | Third-party finance providers to whom we pay a fee. |
(5) | Represents customers arranging their own financing and customers that do not require financing. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||
(In millions) | 2017 | % (1) | 2016 | % (1) | 2017 | % (1) | 2016 | % (1) | |||||||||||
Net sales and operating revenues | $ | 4,107.0 | 100.0 | $ | 3,701.5 | 100.0 | $ | 13,036.0 | 100.0 | $ | 11,825.2 | 100.0 | |||||||
Gross profit | $ | 539.2 | 13.1 | $ | 503.1 | 13.6 | $ | 1,792.1 | 13.7 | $ | 1,621.1 | 13.7 | |||||||
CarMax Auto Finance income | $ | 102.8 | 2.5 | $ | 89.4 | 2.4 | $ | 320.1 | 2.5 | $ | 286.1 | 2.4 | |||||||
Selling, general, and administrative expenses | $ | 399.7 | 9.7 | $ | 356.7 | 9.6 | $ | 1,208.2 | 9.3 | $ | 1,103.1 | 9.3 | |||||||
Interest expense | $ | 17.4 | 0.4 | $ | 15.1 | 0.4 | $ | 51.1 | 0.4 | $ | 40.1 | 0.3 | |||||||
Earnings before income taxes | $ | 225.2 | 5.5 | $ | 219.7 | 5.9 | $ | 853.5 | 6.5 | $ | 764.1 | 6.5 | |||||||
Net earnings | $ | 148.8 | 3.6 | $ | 136.6 | 3.7 | $ | 542.0 | 4.2 | $ | 474.4 | 4.0 |
(1) | Calculated as a percentage of net sales and operating revenues. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||
(In millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||
Used vehicle gross profit | $ | 364.3 | $ | 337.8 | 7.9 | % | $ | 1,201.4 | $ | 1,076.1 | 11.6 | % | |||||||||
Wholesale vehicle gross profit | 93.6 | 82.8 | 13.1 | % | 298.5 | 277.1 | 7.7 | % | |||||||||||||
Other gross profit | 81.3 | 82.5 | (1.6 | )% | 292.2 | 267.9 | 9.1 | % | |||||||||||||
Total | $ | 539.2 | $ | 503.1 | 7.2 | % | $ | 1,792.1 | $ | 1,621.1 | 10.5 | % |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||
2017 | 2016 | 2017 | 2016 | ||||||||||||||
$ per unit(1) | %(2) | $ per unit(1) | %(2) | $ per unit(1) | %(2) | $ per unit(1) | %(2) | ||||||||||
Used vehicle gross profit | $ | 2,148 | 10.6 | $ | 2,155 | 10.9 | $ | 2,181 | 11.0 | $ | 2,173 | 11.0 | |||||
Wholesale vehicle gross profit | $ | 933 | 16.9 | $ | 900 | 16.9 | $ | 965 | 18.1 | $ | 922 | 17.1 | |||||
Other gross profit | $ | 479 | 63.1 | $ | 527 | 67.4 | $ | 530 | 69.7 | $ | 541 | 69.0 | |||||
Total gross profit | $ | 3,178 | 13.1 | $ | 3,209 | 13.6 | $ | 3,253 | 13.7 | $ | 3,273 | 13.7 |
(1) | Calculated as category gross profit divided by its respective units sold, except the other and total categories, which are divided by total used units sold. |
(2) | Calculated as a percentage of its respective sales or revenue. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||||
(In millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||||
Compensation and benefits (1) | $ | 209.8 | $ | 182.2 | 15.1 | % | $ | 650.4 | $ | 598.1 | 8.7 | % | |||||||||||
Store occupancy costs | 86.0 | 75.8 | 13.4 | % | 250.9 | 222.6 | 12.7 | % | |||||||||||||||
Advertising expense | 36.5 | 34.8 | 4.9 | % | 114.3 | 104.1 | 9.8 | % | |||||||||||||||
Other overhead costs (2) | 67.4 | 63.9 | 5.4 | % | 192.6 | 178.3 | 8.0 | % | |||||||||||||||
Total SG&A expenses | $ | 399.7 | $ | 356.7 | 12.0 | % | $ | 1,208.2 | $ | 1,103.1 | 9.5 | % | |||||||||||
SG&A per used unit | $ | 2,356 | $ | 2,275 | $ | 81 | $ | 2,193 | $ | 2,227 | $ | (34 | ) |
(1) | Excludes compensation and benefits related to reconditioning and vehicle repair service, which are included in cost of sales. |
(2) | Includes IT expenses, preopening and relocation costs, insurance, travel, non-CAF bad debt, charitable contributions and other administrative expenses. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||
(In millions) | 2017 | % (1) | 2016 | % (1) | 2017 | % (1) | 2016 | % (1) | |||||||||||||
Interest margin: | |||||||||||||||||||||
Interest and fee income | $ | 217.1 | 7.6 | $ | 192.7 | 7.5 | $ | 637.4 | 7.7 | $ | 567.0 | 7.5 | |||||||||
Interest expense | (55.4 | ) | (2.0 | ) | (44.1 | ) | (1.7 | ) | (156.6 | ) | (1.9 | ) | (125.3 | ) | (1.7 | ) | |||||
Total interest margin | 161.7 | 5.7 | 148.6 | 5.8 | 480.8 | 5.8 | 441.7 | 5.9 | |||||||||||||
Provision for loan losses | (37.5 | ) | (1.3 | ) | (41.9 | ) | (1.6 | ) | (99.0 | ) | (1.2 | ) | (104.2 | ) | (1.4 | ) | |||||
Total interest margin after | |||||||||||||||||||||
provision for loan losses | 124.2 | 4.4 | 106.7 | 4.1 | 381.8 | 4.6 | 337.5 | 4.5 | |||||||||||||
Total direct expenses | (21.4 | ) | (0.8 | ) | (17.3 | ) | (0.7 | ) | (61.7 | ) | (0.7 | ) | (51.4 | ) | (0.7 | ) | |||||
CarMax Auto Finance income | $ | 102.8 | 3.6 | $ | 89.4 | 3.5 | $ | 320.1 | 3.9 | $ | 286.1 | 3.8 | |||||||||
Total average managed receivables | $ | 11,365.6 | $ | 10,297.8 | $ | 11,102.4 | $ | 10,030.9 | |||||||||||||
Net loans originated | $ | 1,454.5 | $ | 1,339.1 | $ | 4,542.8 | $ | 4,217.7 | |||||||||||||
Net penetration rate | 44.2 | % | 45.0 | % | 43.1 | % | 44.7 | % | |||||||||||||
Weighted average contract rate | 7.7 | % | 7.3 | % | 7.7 | % | 7.4 | % | |||||||||||||
Ending allowance for loan losses | $ | 127.7 | $ | 114.8 | $ | 127.7 | $ | 114.8 | |||||||||||||
Warehouse facility information: | |||||||||||||||||||||
Ending funded receivables | $ | 1,882.0 | $ | 1,677.0 | $ | 1,882.0 | $ | 1,677.0 | |||||||||||||
Ending unused capacity | $ | 1,058.0 | $ | 1,123.0 | $ | 1,058.0 | $ | 1,123.0 | |||||||||||||
(1) | Annualized percentage of total average managed receivables. |
Three Months Ended November 30 | Nine Months Ended November 30 | ||||||||||||||||||||
(In millions except per share data) | 2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||
Net earnings | $ | 148.8 | $ | 136.6 | 8.9 | % | $ | 542.0 | $ | 474.4 | 14.3 | % | |||||||||
Diluted weighted average shares outstanding | 184.0 | 190.8 | (3.6 | )% | 185.2 | 193.2 | (4.2 | )% | |||||||||||||
Net earnings per diluted share | $ | 0.81 | $ | 0.72 | 12.5 | % | $ | 2.93 | $ | 2.45 | 19.6 | % |
Location | Television Market | Metropolitan Statistical Area | Planned Opening Date |
Myrtle Beach, South Carolina (1) | Myrtle Beach/Florence (2) | Myrtle Beach | Q4 Fiscal 2018 |
South Portland, Maine | Portland/Auburn (2) | Portland | Q4 Fiscal 2018 |
Manchester, New Hampshire | Boston | Manchester | Q4 Fiscal 2018 |
Golden, Colorado | Denver | Denver/Aurora | Q4 Fiscal 2018 |
Winterville, North Carolina | Greenville/New Bern/Washington (2) | Greenville | Q1 Fiscal 2019 |
McKinney, Texas | Dallas/Ft. Worth | Dallas/Ft. Worth | Q1 Fiscal 2019 |
Jensen Beach, Florida | Miami/Ft. Lauderdale/W. Palm Beach | Port St. Lucie | Q1 Fiscal 2019 |
Santa Fe, New Mexico | Albuquerque/Santa Fe | Santa Fe | Q2 Fiscal 2019 |
Warner Robins, Georgia | Macon (2) | Warner Robins | Q2 Fiscal 2019 |
Norman, Oklahoma | Oklahoma City | Oklahoma City | Q2 Fiscal 2019 |
Wilmington, North Carolina | Wilmington (2) | Wilmington | Q3 Fiscal 2019 |
Lafayette, Louisiana | Lafayette (2) | Lafayette | Q3 Fiscal 2019 |
Corpus Christi, Texas | Corpus Christi (2) | Corpus Christi | Q3 Fiscal 2019 |
Shreveport, Louisiana | Shreveport (2) | Shreveport | Q3 Fiscal 2019 |
Melbourne, Florida | Orlando/Daytona Beach | Palm Bay/Melbourne | Q3 Fiscal 2019 |
(1) | Store opened in December 2017. |
(2) | Represents new television market as of planned store opening date. |
• | Changes in the competitive landscape and/or our failure to successfully adjust to such changes. |
• | Events that damage our reputation or harm the perception of the quality of our brand. |
• | Changes in general or regional U.S. economic conditions. |
• | Changes in tax law, including the effect of federal tax reform. |
• | Changes in the availability or cost of capital and working capital financing, including changes related to the asset-backed securitization market. |
• | Our inability to recruit, develop and retain associates and maintain positive associate relations. |
• | The loss of key associates from our store, regional or corporate management teams or a significant increase in labor costs. |
• | Security breaches or other events that result in the misappropriation, loss or other unauthorized disclosure of confidential customer, associate or corporate information. |
• | Significant changes in prices of new and used vehicles. |
• | Changes in economic conditions or other factors that result in greater credit losses for CAF’s portfolio of auto loan receivables than anticipated. |
• | A reduction in the availability of or access to sources of inventory or a failure to expeditiously liquidate inventory. |
• | Changes in consumer credit availability provided by our third-party finance providers. |
• | Changes in the availability of extended protection plan products from third-party providers. |
• | Factors related to the regulatory and legislative environment in which we operate. |
• | Factors related to geographic and sales growth, including the inability to effectively manage our growth. |
• | The failure of or inability to sufficiently enhance key information systems. |
• | The effect of various litigation matters. |
• | Adverse conditions affecting one or more automotive manufacturers, and manufacturer recalls. |
• | The inaccuracy of estimates and assumptions used in the preparation of our financial statements, or the effect of new accounting requirements or changes to U.S. generally accepted accounting principles. |
• | The performance of the third-party vendors we rely on for key components of our business. |
• | Factors related to seasonal fluctuations in our business. |
• | The occurrence of severe weather events. |
• | Factors related to the geographic concentration of our stores. |
Three Months Ended November 30 | Nine Months Ended November 30 | |||||||||||||||||||
(In thousands except per share data) | 2017 | % (1) | 2016 | % (1) | 2017 | % (1) | 2016 | % (1) | ||||||||||||
SALES AND OPERATING REVENUES: | ||||||||||||||||||||
Used vehicle sales | $ | 3,425,540 | 83.4 | $ | 3,090,613 | 83.5 | $ | 10,963,113 | 84.1 | $ | 9,820,401 | 83.0 | ||||||||
Wholesale vehicle sales | 552,754 | 13.5 | 488,385 | 13.2 | 1,653,911 | 12.7 | 1,616,528 | 13.7 | ||||||||||||
Other sales and revenues | 128,723 | 3.1 | 122,526 | 3.3 | 418,967 | 3.2 | 388,229 | 3.3 | ||||||||||||
NET SALES AND OPERATING REVENUES | 4,107,017 | 100.0 | 3,701,524 | 100.0 | 13,035,991 | 100.0 | 11,825,158 | 100.0 | ||||||||||||
Cost of sales | 3,567,829 | 86.9 | 3,198,389 | 86.4 | 11,243,860 | 86.3 | 10,204,024 | 86.3 | ||||||||||||
GROSS PROFIT | 539,188 | 13.1 | 503,135 | 13.6 | 1,792,131 | 13.7 | 1,621,134 | 13.7 | ||||||||||||
CARMAX AUTO FINANCE INCOME | 102,810 | 2.5 | 89,359 | 2.4 | 320,109 | 2.5 | 286,086 | 2.4 | ||||||||||||
Selling, general and administrative expenses | 399,672 | 9.7 | 356,735 | 9.6 | 1,208,237 | 9.3 | 1,103,091 | 9.3 | ||||||||||||
Interest expense | 17,405 | 0.4 | 15,071 | 0.4 | 51,079 | 0.4 | 40,063 | 0.3 | ||||||||||||
Other (income) expense | (279 | ) | — | 1,027 | — | (561 | ) | — | (24 | ) | — | |||||||||
Earnings before income taxes | 225,200 | 5.5 | 219,661 | 5.9 | 853,485 | 6.5 | 764,090 | 6.5 | ||||||||||||
Income tax provision | 76,360 | 1.9 | 83,016 | 2.2 | 311,519 | 2.4 | 289,723 | 2.5 | ||||||||||||
NET EARNINGS | $ | 148,840 | 3.6 | $ | 136,645 | 3.7 | $ | 541,966 | 4.2 | $ | 474,367 | 4.0 | ||||||||
WEIGHTED AVERAGE COMMON SHARES: | ||||||||||||||||||||
Basic | 181,888 | 189,200 | 183,324 | 191,431 | ||||||||||||||||
Diluted | 184,033 | 190,818 | 185,201 | 193,239 | ||||||||||||||||
NET EARNINGS PER SHARE: | ||||||||||||||||||||
Basic | $ | 0.82 | $ | 0.72 | $ | 2.96 | $ | 2.48 | ||||||||||||
Diluted | $ | 0.81 | $ | 0.72 | $ | 2.93 | $ | 2.45 |
As of | ||||||||||||
November 30 | February 28 | November 30 | ||||||||||
(In thousands except share data) | 2017 | 2017 | 2016 | |||||||||
ASSETS | ||||||||||||
CURRENT ASSETS: | ||||||||||||
Cash and cash equivalents | $ | 26,287 | $ | 38,416 | $ | 23,713 | ||||||
Restricted cash from collections on auto loan receivables | 388,945 | 380,353 | 357,040 | |||||||||
Accounts receivable, net | 95,841 | 152,388 | 92,003 | |||||||||
Inventory | 2,440,551 | 2,260,563 | 2,170,175 | |||||||||
Other current assets | 53,299 | 41,910 | 41,347 | |||||||||
TOTAL CURRENT ASSETS | 3,004,923 | 2,873,630 | 2,684,278 | |||||||||
Auto loan receivables, net | 11,376,825 | 10,596,076 | 10,333,318 | |||||||||
Property and equipment, net | 2,634,442 | 2,518,393 | 2,449,343 | |||||||||
Deferred income taxes | 133,173 | 150,962 | 155,995 | |||||||||
Other assets | 154,051 | 140,295 | 137,133 | |||||||||
TOTAL ASSETS | $ | 17,303,414 | $ | 16,279,356 | $ | 15,760,067 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||
CURRENT LIABILITIES: | ||||||||||||
Accounts payable | $ | 519,984 | $ | 494,989 | $ | 476,757 | ||||||
Accrued expenses and other current liabilities | 233,397 | 266,128 | 224,585 | |||||||||
Accrued income taxes | — | 1,404 | 2,071 | |||||||||
Short-term debt | 593 | 62 | 880 | |||||||||
Current portion of finance and capital lease obligations | 9,590 | 9,491 | 10,566 | |||||||||
Current portion of non-recourse notes payable | 348,114 | 333,713 | 312,858 | |||||||||
TOTAL CURRENT LIABILITIES | 1,111,678 | 1,105,787 | 1,027,717 | |||||||||
Long-term debt, excluding current portion | 1,042,874 | 952,562 | 888,161 | |||||||||
Finance and capital lease obligations, excluding current portion | 490,968 | 486,645 | 466,965 | |||||||||
Non-recourse notes payable, excluding current portion | 11,117,495 | 10,387,231 | 10,129,401 | |||||||||
Other liabilities | 239,672 | 238,551 | 232,439 | |||||||||
TOTAL LIABILITIES | 14,002,687 | 13,170,776 | 12,744,683 | |||||||||
Commitments and contingent liabilities | ||||||||||||
SHAREHOLDERS’ EQUITY: | ||||||||||||
Common stock, $0.50 par value; 350,000,000 shares authorized; 181,489,439 and 186,548,602 shares issued and outstanding as of November 30, 2017 and February 28, 2017, respectively | 90,745 | 93,274 | 93,676 | |||||||||
Capital in excess of par value | 1,233,062 | 1,188,578 | 1,160,484 | |||||||||
Accumulated other comprehensive loss | (51,304 | ) | (56,555 | ) | (60,135 | ) | ||||||
Retained earnings | 2,028,224 | 1,883,283 | 1,821,359 | |||||||||
TOTAL SHAREHOLDERS’ EQUITY | 3,300,727 | 3,108,580 | 3,015,384 | |||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 17,303,414 | $ | 16,279,356 | $ | 15,760,067 |
Nine Months Ended November 30 | |||||||
(In thousands) | 2017 | 2016 (1) | |||||
OPERATING ACTIVITIES: | |||||||
Net earnings | $ | 541,966 | $ | 474,367 | |||
Adjustments to reconcile net earnings to net cash used in operating activities: | |||||||
Depreciation and amortization | 133,175 | 125,654 | |||||
Share-based compensation expense | 52,363 | 72,026 | |||||
Provision for loan losses | 98,982 | 104,249 | |||||
Provision for cancellation reserves | 50,850 | 51,768 | |||||
Deferred income tax provision (benefit) | 14,384 | (584 | ) | ||||
Other | 1,223 | 2,118 | |||||
Net decrease (increase) in: | |||||||
Accounts receivable, net | 56,547 | 40,168 | |||||
Inventory | (179,988 | ) | (238,146 | ) | |||
Other current assets | (5,422 | ) | (5,802 | ) | |||
Auto loan receivables, net | (879,731 | ) | (900,675 | ) | |||
Other assets | (348 | ) | 1,193 | ||||
Net (decrease) increase in: | |||||||
Accounts payable, accrued expenses and other | |||||||
current liabilities and accrued income taxes | (9,373 | ) | 1,840 | ||||
Other liabilities | (67,750 | ) | (64,222 | ) | |||
NET CASH USED IN OPERATING ACTIVITIES | (193,122 | ) | (336,046 | ) | |||
INVESTING ACTIVITIES: | |||||||
Capital expenditures | (227,559 | ) | (315,543 | ) | |||
Proceeds from disposal of property and equipment | 96 | 728 | |||||
Increase in restricted cash from collections on auto loan receivables | (8,592 | ) | (13,211 | ) | |||
Increase in restricted cash in reserve accounts | (16,799 | ) | (11,663 | ) | |||
Release of restricted cash from reserve accounts | 13,411 | 8,083 | |||||
Purchases of investments | (8,525 | ) | (6,924 | ) | |||
Sales of investments | 466 | 318 | |||||
NET CASH USED IN INVESTING ACTIVITIES | (247,502 | ) | (338,212 | ) | |||
FINANCING ACTIVITIES: | |||||||
Increase in short-term debt, net | 531 | 452 | |||||
Proceeds from issuances of long-term debt | 2,996,700 | 1,660,600 | |||||
Payments on long-term debt | (2,906,700 | ) | (1,484,900 | ) | |||
Cash paid for debt issuance costs | (11,524 | ) | (12,568 | ) | |||
Payments on finance and capital lease obligations | (6,704 | ) | (8,407 | ) | |||
Issuances of non-recourse notes payable | 7,720,963 | 7,235,000 | |||||
Payments on non-recourse notes payable | (6,976,360 | ) | (6,299,802 | ) | |||
Repurchase and retirement of common stock | (454,960 | ) | (464,352 | ) | |||
Equity issuances | 66,549 | 34,554 | |||||
NET CASH PROVIDED BY FINANCING ACTIVITIES | 428,495 | 660,577 | |||||
Decrease in cash and cash equivalents | (12,129 | ) | (13,681 | ) | |||
Cash and cash equivalents at beginning of year | 38,416 | 37,394 | |||||
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ | 26,287 | $ | 23,713 |